China Mobile (CHL): Lehman Says Subs Fine, Earthquake Means Share Gains

China Mobile (CHL) will make its 2008 target of 80 million net adds, Lehman says, despite missing April consensus (7.4mm Actual vs. 7.5mm est). Lehman also believes the earthquake in Sichuan will help CHL gain wireless share:

[W]e believe that the central Chinese government is more focused on the rescue and rebuilding efforts than on announcing a roadmap for telecom industry restructuring. Any delay in industry restructuring would be a positive for CM, in our view, as it would allow the company to continue to gain wireless market share ahead of competition from new wireless entrants.

Shares remain rated 1-Overweight, target 180 HKD.

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